Russian Card Scammer Arrested

The U.S. Justice Department has announced that it has arrested Russian hacker and stolen credit card entrepreneur Roman Seleznev.  Selenev is accused of running a network of online shops that made credit and debit card data stolen in breaches at restaurants and retailers throughout the United States available for sale, according to security blogger Brian Krebs. He is reportedly the son of a member of Russia’s parliament.

The indictment, which was first filed in 2011 but only made public this week, further alleges that the 30-year-old Russian hacker – along with two accomplices – also sold stolen card information through his person online monikers.  All told, the operation is reported to have taken in $2 million in illicit sales.

Those buying cards from Selenev’s crime shops had several options for how they wanted to purchase their credit card fraud.  Users could pay an upfront fee of around $600 -$12K for membership—card batches could then range from 100 card mix (of Visa, AMEX, Discover or MC) for $1,300 or a 1,000 card “mega-mix” for $8K.  All transactions were carried out in virtual currency, usually bitcoin.

This prosecution will represent the first every RICO-style take down of a cyber crime organization, reports The Wall Street Journal.

Selenev was not arrested on Russian soil, and was, according to the rather displeased Russian government, taken (or kidnapped as they say) while traveling in the Maldives.

“Contrary to the existing rules of international law, have allowed an intelligence agency of another state to kidnap a Russian citizen and take him out of the country. We demand that the Government of the Maldives to provide the necessary clarifications. Given these circumstances, we again strongly encourage our countrymen to pay attention to the warnings posted on the Web site of the Russian Foreign Ministry, regarding the risks which are associated with foreign travel, if there is a suspicion that U.S. law enforcement agencies can tie them to any claim.”

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